Appointment and removal of manager of private institution.

(1) The management of every private institution shall be constituted in such manner and shall consist of such number of members as may be prescribed: Provided that the board of trustees, or governing Body of Wakf Board, by whatever name called, constituted or appointed under any other law for the time being in force relating to the charitable and religious institutions and endowments and wakfs, shall be deemed to be a management constituted under this sub-section. Provided further that the constitution of the management under this sub-section shall apply to a minority educational institution, in so far as it is not repugnant to clause (1) of article 30 of the Constitution of India. (2) The management shall, for the purposes of this Act, nominate a person to manage the affairs of the institution, whether called by the name of secretary, correspondent or by any other name, and intimate such nomination within thirty days thereof to the competent authority. (3) (a) Where the competent authority is satisfied that the management is responsible for the lapses or irregularities of the institution, the competent authority may, after giving to such management an opportunity to make representation and for reasons to be recorded in writing, suspend the management and appoint a special officer till the reconstitution of the management: Provided that in relation to a private institution under the management of a charitable or religious institution, charitable or religious endowment and a wakf, the competent authority shall be the Government or an authority or officer authorised by the Government in this behalf. Provided further that no management of a minority educational institution shall be suspended under this sub-section save for mismanagement. (b) Where the competent authority is satisfied that the manager alone is responsible for the lapses or irregularities of the institution, action shall be taken against him by the management, as recommended by the competent authority. (4) The competent authority may, for reasons to be recorded in writing, declare a person to be unfit to be the manager of a private institution after giving to such person an opportunity of making his representation against such declaration and under intimation to the management and on such declaration, the person aforesaid shall cease to be the manager of the private institution and the management of such institution shall nominate another person as a manager in his place in accordance with the provisions of sub-section (2). Provided that no manager of a minority educational institution shall be declared to be so unfit under this sub-section save for mis-management. (5) [XXX] (6) For the removal of doubts it is hereby declared that any failure or wilful negligence on the part of a management to take action against the manager as required under clause (b) of sub-section (3) or to nominate another person as manager under sub-section (4) shall constitute an act of mismanagement and action shall be taken against the private institution under this Act accordingly.